PALU vs. ARMG

Last updated Jul 17, 2026

PALU (Direxion Daily PANW Bull 2X Shares) and ARMG (Leverage Shares 2X Long ARM Daily ETF) are both Leveraged Equities funds. Both are actively managed. Over the past year, PALU returned 155.64% vs 53.96% for ARMG. At a 0.26 correlation, their price movements are largely independent. PALU charges 1.08%/yr vs 0.75%/yr for ARMG.

Performance

PALU vs. ARMG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Direxion Daily PANW Bull 2X Shares (PALU) and Leverage Shares 2X Long ARM Daily ETF (ARMG). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PALU achieves a 206.97% return, which is significantly lower than ARMG's 261.05% return.

PALU

• 1D: -0.26%
• 1M: 54.64%
• 6M: 197.50%
• YTD: 206.97%
• 1Y: 155.64%
• 3Y*: —
• 5Y*: —
• 10Y*: —

ARMG

• 1D: -11.02%
• 1M: -59.69%
• 6M: 294.25%
• YTD: 261.05%
• 1Y: 53.96%
• 3Y*: —
• 5Y*: —
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

PALU vs. ARMG - Yearly Performance Comparison

	2026 (YTD)	2025
PALU Direxion Daily PANW Bull 2X Shares	206.97%	-17.65%
ARMG Leverage Shares 2X Long ARM Daily ETF	261.05%	-45.07%

Correlation

The correlation between PALU and ARMG is 0.23, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.23
Correlation (All Time) Calculated using the full available price history since Mar 26, 2025	0.26

Return for Risk

PALU vs. ARMG — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

PALU

PALU Risk / Return Rank: 60
PALU Sharpe Ratio Rank: 73
PALU Sortino Ratio Rank: 62
PALU Omega Ratio Rank: 63
PALU Calmar Ratio Rank: 63
PALU Martin Ratio Rank: 40

ARMG

ARMG Risk / Return Rank: 26
ARMG Sharpe Ratio Rank: 16
ARMG Sortino Ratio Rank: 37
ARMG Omega Ratio Rank: 36
ARMG Calmar Ratio Rank: 21
ARMG Martin Ratio Rank: 17

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

PALU vs. ARMG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Direxion Daily PANW Bull 2X Shares (PALU) and Leverage Shares 2X Long ARM Daily ETF (ARMG). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	PALU	ARMG	Difference
Sharpe ratio: Return per unit of total volatility	1.88	0.37	+1.51
Sortino ratio: Return per unit of downside risk	2.34	1.64	+0.70
Omega ratio: Gain probability vs. loss probability	1.30	1.20	+0.11
Calmar ratio: Return relative to maximum drawdown	2.52	0.80	+1.72
Martin ratio: Return relative to average drawdown	5.06	1.34	+3.72

PALU vs. ARMG - Sharpe Ratio Comparison

The current PALU Sharpe Ratio is 1.88, which is higher than the ARMG Sharpe Ratio of 0.37. The chart below compares the historical Sharpe Ratios of PALU and ARMG, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

PALU vs. ARMG - Drawdown Comparison

The maximum PALU drawdown since its inception was -62.18%, smaller than the maximum ARMG drawdown of -80.28%. Use the drawdown chart below to compare losses from any high point for PALU and ARMG.

Drawdown Indicators

	PALU	ARMG	Difference
Max Drawdown Largest peak-to-trough decline	-62.18%	-80.28%	+18.10%
Max Drawdown (1Y) Largest decline over 1 year	-62.18%	-68.13%	+5.95%
Current Drawdown Current decline from peak	-3.81%	-67.07%	+63.26%
Average Drawdown Average peak-to-trough decline	-21.35%	-51.68%	+30.33%
Ulcer Index Depth and duration of drawdowns from previous peaks	30.87%	40.41%	-9.54%

Volatility

PALU vs. ARMG - Volatility Comparison

The current volatility for Direxion Daily PANW Bull 2X Shares (PALU) is 33.33%, while Leverage Shares 2X Long ARM Daily ETF (ARMG) has a volatility of 48.04%. This indicates that PALU experiences smaller price fluctuations and is considered to be less risky than ARMG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PALU	ARMG	Difference
Volatility (1M) Calculated over the trailing 1-month period	33.33%	48.04%	-14.71%
Volatility (6M) Calculated over the trailing 6-month period	71.31%	124.01%	-52.70%
Volatility (1Y) Calculated over the trailing 1-year period	83.11%	145.63%	-62.52%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	84.10%	144.48%	-60.38%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	84.10%	144.48%	-60.38%

PALU vs. ARMG - Expense Ratio Comparison

PALU has a 1.08% expense ratio, which is higher than ARMG's 0.75% expense ratio.

Dividends

PALU vs. ARMG - Dividend Comparison

PALU's dividend yield for the trailing twelve months is around 3.55%, more than ARMG's 1.35% yield.

Position	TTM	2025
ARMG Leverage Shares 2X Long ARM Daily ETF	1.35%	4.86%
PALU Direxion Daily PANW Bull 2X Shares	3.55%	10.50%

Frequently Asked Questions

Can I hold both PALU and ARMG in my portfolio?

PALU and ARMG have a correlation of 0.23, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PALU or ARMG?

ARMG has higher volatility (48.04%) compared to PALU (33.33%). In terms of maximum drawdown, PALU dropped -62.18% vs ARMG's -80.28%.

Which ETF is better, PALU or ARMG?

On 1-year performance, PALU leads with 155.64% vs 53.96% for ARMG. On fees, ARMG is cheaper at 0.75% per year. On volatility, PALU has been the lower-risk option at 33.33%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PALU or ARMG?

Over the 1-year period, PALU has performed better with a 155.64% return vs 53.96%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PALU or ARMG?

ARMG is cheaper with a 0.75% expense ratio, compared with 1.08% for PALU.

Which ETF pays a higher dividend yield, PALU or ARMG?

PALU has the higher dividend yield at 3.55%, compared with 1.35% for ARMG.

What is the main difference between PALU and ARMG?

They also come from different issuers: Direxion and Leverage Shares. Their fees differ too: 1.08% for PALU and 0.75% for ARMG.

Which has better risk-adjusted returns?

PALU currently has the higher Sharpe Ratio (1.88 vs 0.37), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.